Kothari Petrochemicals Ltd Stock Analysis

BSE: 532096 | NSE: KOTHARIPET | Petrochemicals | Small Cap

BSE Share Price
Not Listed

DeciZen - Make an Informed Decision on Kothari Petrochem

Overall Rating
M-Cap below 500cr. High Risk from low Liquidity

1. Quality

2. Valuation

Undervalued
P/E P/S EV/EBITDA

3. Price Trend

10 Year X-Ray:

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.

Value Creation

Value Creation Index Colour Code Guide
Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
ROCE % 7.7%7.1%11%14.8%10.7%6.6%9.2%12.5%16.6%19.5%-
Value Creation Index -0.5-0.5-0.20.1-0.2NANANANANA-

Growth Parameters

Growth Parameters Colour Code Guide
Sales 161237337279214219195300273229300
YoY Gr. Rt. %-47.2%42%-17.1%-23.5%2.8%-11.3%54%-8.9%-16.2%-
Adj EPS 0.70.71.21.81.40.91.522.93.75.3
YoY Gr. Rt. %--5.6%80.9%46.3%-20%-38.2%71.9%32.7%40.4%30.9%-
BVPS (₹) 10.210.210.410.911.31213.314.51720.923.7
Adj Net Profit 4.247.310.68.55.291216.821.931
Cash Flow from Ops. 14.40.3814.415.83.515.727.526.530.8-
Debt/CF from Ops. 0.730.72.21.61.19.72.110.20.1-

CAGR

CAGR Colour Code Guide
9 Years 5 Years 3 Years 1 Years
Sales 4%1.4%5.6%-16.2%
Adj EPS 20.1%21%34.6%30.9%
BVPS 8.213.116.223
Share Price - - - -

Key Financial Parameters

Performance Ratio Colour Code Guide
Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
Return on Equity % 76.611.916.812.97.61214.618.119.623.8
Op. Profit Mgn % 5.43.33.76.67.15.59.17.110.114.915.4
Net Profit Mgn % 2.61.72.23.842.44.646.19.610.4
Debt to Equity 0.20.10.30.40.30.50.40.30.100
Working Cap Days 7048425360557954556686
Cash Conv. Cycle 15151823211420116450

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 15.00%

Net Profit is growing at healthy rate in last 3 years 30.17%

Sales growth has been subdued in last 3 years -3.36%

Sales growth is not so good in last 4 quarters at 0.00%

Latest Financials - Kothari Petrochemicals Ltd.

Standalone Consolidated
TTM EPS (₹) 5.3 1.6
TTM Sales (₹ Cr.) 300 214
BVPS (₹.) 23.7 10
Reserves (₹ Cr.) 81 -
P/BV 3.98 10.60
PE 17.82 65.35
From the Market
52 Week Low / High (₹) 0.00 / 0.00
All Time Low / High (₹) 0.65 / 9.50
Market Cap (₹ Cr.) 556
Equity (₹ Cr.) 58.9
Face Value (₹) 10
Industry PE 28.8

Management X-Ray:

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Event Update

Analyst's Notes

News

About Kothari Petrochemicals Ltd

Kothari Petrochemicals Ltd. is a part of the renowned HC Kothari Group, the largest producer of premium quality Polybutene in India. Since their founding in 1990, the company has enjoyed a strong market position in India with a rapidly growing brand across the globe that represents quality, customer responsiveness, dependability and a commitment to the environment.

In the financial year 2007-2008, Kothari Petrochemicals commissioned a second plant in Manali that doubled their production capacity to 22,000 MT per annum in order to supply Polybutene worldwide. They have offices in Chennai, Manali, Mumbai and Belgium, and supply to customers in 20 countries around the world. In the year 2007-2008, the company undertook aggressive restructuring of its leadership team, business processes and culture to strengthen its position as a trusted brand worldwide. The restructuring actions have resulted in improved operating efficiency, superior global consistency, and strengthened financial performances. They have metamorphosed from a regional company to a global business and continue to implement best practices that are shared and implemented globally. Innovation and technology improvements remain the industry’s most critical competitive factor. Continued investment and acceleration in them have resulted in high quality levels of their products that are unmatched in India, and at parity with the leading global suppliers of polybutene. An ISO 9000 and ISO 14000 certification only adds value to their statement. The company's products have been tested and certified by major customers, such as Infineum, Lubrizol, Shell and Exxon, and are used across a wide range of industries worldwide.  

With every industry, requirements and needs change. Their Polybutene works for various applications in multitudinous industries across the globe. Marketed worldwide under the KVIS brand name, their product has time and again delivered the goods and exceeded their clients’ expectations to no measure.   Kothari Petrochemicals Health, Safety and Environment strategy is based on active involvement of every employee. As part of the HC Kothari Group, which has significant interests in green energy research and development, they are committed to being an environmentally friendly producer of products, which in turn are cleaner and non-toxic.   The versatile applications of the Polybutene (special grades) have incited a potent demand for its derivatives across Asia Pacific, Middle East, Far Eastern Countries and USA. The strongest growth in Polybutene demand is in Asia, a region in which Kothari has grown as a trusted supplier to many large companies, such as Exxon Mobil, Infineum, Chevron, BP Castrol and Lubrizol.

Product range of the company includes:

KVIS is the trade name of polybutene produced by Kothari Petrochemicals. KVIS is a linear polymer of isobutylene of different molecular weights, and possesses excellent resistance to oxidative and thermal degradation. Polybutene is chemically inert, hydrophobic and impermeable to water vapour or gas.

The KVIS is a synthetic liquid polymer, which is a straight chain hydrocarbon structure of polybutene that is produced in a variety of grades through a rigid low temperature polymerization process. It is derived from raw material consisting of mainly Isobutylene. The compact straight chain structure results in brilliant moisture and barrier properties and is soluble in a wide range of organic solvents.

  • KVIS-10
  • KVIS-30
  • KVIS-100
  • KVIS-200

All KVIS grades are colourless (water white), non-staining and have little or no odour and are mostly used in applications where low temperature flexibility is a requirement.

Achievements/ recognition:

  • Quality Management System (ISO 9001:2000)
  • Environmental Management System (ISO 14001: 2004)
  • Kothari Petrochemicals’ “KVIS” brand polybutene products have undergone quality testing and have been approved by numerous international and Indian organizations.
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